The Federal Trade Commission (FTC) unanimously voted to block mattress maker Tempur Sealy's purchase of Mattress Firm in a $4 billion deal. The decision was made to prevent the suppression of competition and potential price increases for mattress buyers. The acquisition, which would have given the combined company 3,000 stores and 71 manufacturing facilities, was seen as a move to dominate the market and limit access for competing mattress suppliers.
The FTC authorized a lawsuit in federal court to challenge the deal, citing concerns that it could harm working-class consumers who rely on financing to purchase mattresses. The Commission expressed worries that the acquisition could lead to layoffs in American manufacturing jobs and drive competitors out of business.
